The paper analyzes the importance of implementing international standards in Serbian companies to achieve competitivness at domestic and international markets. To maintain and improve their competitive position the organization must be flexible, innovative and reactive to changes that are now numerous and dynamic. The only way for company to improve its situation at international market is implementing and continuous improvement of product/service quality in order to satisfy the consumers. Domestic companies are not yet aware of that. The way that leads to achieving business excellence is in the right use of knowledge.